Norwegian salmon farmer Måsøval has recorded robust financial results for the first quarter of 2024.
The Frøya-based producer has reported Q1 revenues of NOK 402 million ($38 million) from harvesting 3,606 GWT, up from NOK 237 million ($22 million) and 1,994 GWT in the same quarter of 2023.
The operational EBIT for Q1 2024 was NOK 120 million ($11 million), significantly higher than NOK 36 million ($3.4 million) in Q1 2023.
“The sea production was strong in the quarter. Despite colder sea temperatures, jellyfish, and winter storms, the team performed well. During the quarter, the group not only harvested more salmon than guided but also exited the quarter with a high biomass of harvest-ready fish. Cost position improved significantly in the quarter, positioning us for a strong Q2,” said CEO Helge Kvalvik.
However, the results were somewhat hampered by low price achievement due to downgrading, reflecting substandard quality. Kvalvik emphasized the company’s commitment to improving fish health to enhance quality across the value chain. Losses in the sales and processing department due to non-recurring events also impacted an otherwise strong operational quarter.
Looking ahead, Måsøval expects to ramp up harvesting in Q2, guiding a harvest volume of 7,500-8,000 tons. For the full year, the group expects to harvest 27,000-28,000 tons. Spot prices are anticipated to be higher in Q2, with fish pool futures for Q2 last traded at NOK 122 ($11.35), compared to NOK 110 ($10.23) for Q1.
The group has undertaken strategic measures to integrate vertically and increase key capacities, including taking over a former Mowi processing plant and signing a time charter contract on an additional wellboat.
The board of Måsøval has proposed a dividend of NOK 0.5 ($0.05) per share.
